What's Happening?
CNN is launching its All Access subscription tier on October 28, priced at $6.99 per month. This service will offer live and on-demand video programming, along with access to all CNN.com articles and a library of CNN Originals. The launch comes three
years after Warner Bros Discovery discontinued CNN+ shortly after its debut. The new offering aims to offset declining cable TV revenue and expand CNN's streaming unit in a competitive market. Current pay-TV subscribers can access the new streaming product at no additional cost, while a subscription to the Basic tier is required for unlimited article access.
Why It's Important?
CNN's renewed push into streaming is significant as it seeks to offset declining cable TV revenue and expand its streaming unit. The service's pricing strategy challenges existing news bundles and tests consumer willingness to pay for standalone news streaming. This could influence monthly bills for subscribers of news apps and entertainment bundles. The success of CNN's All Access service may prompt other news outlets to explore similar subscription models, potentially reshaping the media landscape.
What's Next?
CNN's All Access service is expected to impact news consumption patterns and subscription models. Industry observers are monitoring whether CNN can overcome the challenges faced by its previous streaming attempt, CNN+. The service's pricing strategy and integration with CNN's core reporting will be crucial in determining its success. As Warner Bros Discovery continues to split assets and rebuild streaming bundles, the media landscape may see further changes in how news and entertainment are offered to consumers.
Beyond the Headlines
The launch of CNN's All Access service raises questions about the future of news subscriptions and the viability of standalone streaming products. As cord-cutting trends push viewers towards direct-to-consumer options, networks may test low monthly gates to build subscriber bases before increasing bundle prices. The service's success could influence other legacy news brands to adopt similar strategies, potentially leading to a shift in how news is consumed and monetized.
